Uncategorized WHEN LC REQUIRES PRESENTATION OF LESS THAN A FULL SET OF ORIGINAL BILLS OF LADING By Mr Old Man Posted on July 9, 2013 2 min read 4 0 2,767 Share on Facebook Share on Twitter Share on Google+ Share on Reddit Share on Pinterest Share on Linkedin Share on Tumblr QUESTION Dear Mr. Old Man, L/C required:– 2/3 original bills of lading– Beneficiary’s certificate certifying that 1/3 original bill of lading has been sent directly to the applicant within 3 working days after shipment date. Documents presented included 3/3 original bills of lading and the beneficiary’s certificate with the required certification. The issuing bank raised the discrepancy “3/3 original bill of lading presented instead 2/3 as required by the L/C”. Was the discrepancy valid for refusal? Looking forward to your early answer. Thanks and best regards,J.——– ANSWER Dear J. In 2007 I ever answered the same question in www.letterofcreditforum.com that there was no discrepancy while other experts said it was a discrepancy. My reasoning at that time was that 1/3 original bill of lading should be disregarded as it was an additional document. Now I have to change my view because of ISBP 745 paragraph A29 (c), which says “When a credit requires presentation of less than a full set of original transport documents (for example, “2/3 original bills of lading), BUT DOES NOT PROVIDE ANY DISPOSAL INSTRUCTIONS FOR THE REMAINING ORIGINAL BILL OF LADING (emphasized by Mr. Old Man), a presentation may include 3/3 original bills of lading”. It is understood from the beneficiary’s certificate that the beneficiary had to send 1/3 original bill of lading directly to the applicant within 3 working days after shipment date. Therefore, a presentation of 3/3 original bills of lading did not comply with the L/C requirement. The discrepancy raised by the issuing bank was valid. Best regards,Mr. Old Man